Integration of HMI Systems with Simulation: A Strategic Foundation for Resource Optimization in Industry 5.0
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Integration of HMI Systems with Simulation: A Strategic Foundation for Resource Optimization in Industry 5.0

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Martin Szerment

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Published on September 1, 2025

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Introduction

In the era of industrial digital transformation, the global human-machine interface (HMI) market reached USD 24.5 billion in 2024 and is projected to grow to USD 55.2 billion by 2033, with a compound annual growth rate (CAGR) of 9.7%. At the same time, the simulation software market expanded from USD 19.95 billion in 2024 to an expected USD 36.22 billion by 2030 at a CAGR of 10.4%. These dynamic trends reflect a fundamental shift in the approach to optimizing production resources.

The integration of advanced HMI systems with simulation tools is now a key component of Industry 5.0 strategies, enabling enterprises to achieve measurable financial and operational benefits. According to McKinsey, 70% of investments in digital manufacturing solutions fail to meet their intended goals, representing global losses of approximately USD 1.6 trillion annually.

Transformation of HMI Systems in Smart Factories

Technological Evolution

Modern HMI systems have evolved from simple control interfaces into advanced production command centers. According to Mordor Intelligence, the global HMI market value was USD 3.71 billion in 2020 and is expected to grow to USD 7.24 billion by 2026 at a CAGR of 10.3%.

HMI platforms designed under Industry 5.0 principles ensure IoT compatibility and play a crucial role in data management for predictive maintenance and optimization.

Key Functionalities

  • Real-time data collection and analysis:
    Industry 5.0 HMIs handle far higher data volumes than traditional DCS, SCADA, or PLC systems.
    Integration with IoT enables monitoring of temperature, vibration, and pressure for predictive maintenance.

  • Advanced user interfaces:
    Touchscreens accounted for 71% of the HMI market in 2024 due to glove-friendly capacitive layers and chemically strengthened glass.
    AR/VR interfaces are growing fastest, with an 18.7% CAGR, reshaping operator interaction paradigms.

Simulation as a Strategic Optimization Tool

Market and Applications

Manufacturing was the largest segment of the simulation software market in 2024, applying tools to optimize machining, welding, casting, and assembly processes.

Key Benefits

  • Cost reduction:
    Virtual testing and validation of designs before physical prototyping reduces R&D costs related to prototyping, testing, and rework.

  • Resource planning optimization:
    Simulation Optimization (SO) provides methodologies to significantly enhance industrial efficiency.
    Simulation-based optimization models (SBOM) combined with hybrid particle swarm algorithms and digital twin technologies deliver actionable real-time solutions.

Integration of HMI with Simulation: A Synergistic Model

System Architecture

Effective integration requires a hierarchical computational model:

  • Local controllers handle resource allocation decisions and send results to a central controller.

  • The central controller runs high-level simulations.

  • HMI systems provide operators with interfaces and simulation data visualization.

Implementation Process

  • Phase 1: Data Collection – HMI delivers real-time data, integrated with MES, ERP, and SCADA.

  • Phase 2: Modeling – Building simulation models and digital twins of production processes.

  • Phase 3: Optimization – Running simulation scenarios and analyzing KPI-based outcomes.

  • Phase 4: Implementation – Feeding recommendations into production control systems and monitoring results via HMI.

Key Performance Indicators (KPIs) and ROI

  • Overall Equipment Effectiveness (OEE):
    The global average OEE is estimated at 40–60%. World-class factories aim for 85%.

    • Availability

    • Performance

    • Quality

  • Financial Impact:
    Median ROI of 140% for off-the-shelf analytics tools compared to 104% for custom-built ones.

Case Studies:

  • Automotive Tier One factory saved USD 90.5M via condition-based and predictive maintenance (1.2% of TCO).

  • Improved asset tracking saved USD 60.1M over 5 years (0.8% of TCO).

  • Pharmaceutical case: Raising OEE from 37% to 60% boosted throughput by 20–60% and delivered annual returns of USD 14–16M.

  • AI & ML: Smarter decision-making, predictive maintenance, and efficiency optimization.

  • AR/VR: From 8M enterprise devices in 2024 to 21M in 2030. Remote expert engagement reduces downtime and training costs significantly.

  • Cybersecurity: Migration toward Zero Trust to mitigate cloud and remote-connection vulnerabilities.

Regional Outlook:

  • Asia-Pacific leads with 38% share in 2024.

  • Middle East & Africa grow fastest (9.8% CAGR), driven by Vision 2030 and Operation 300bn programs.

Implementation Challenges

  • Costs: 63% of manufacturing executives cite budget constraints.

  • Legacy system integration: Aligning old systems with new technologies remains a barrier.

Strategies:

  • Pilot projects → Scale with proven ROI.

  • Workforce training (35% lack digital skills).

Strategic Recommendations

  • SMEs: Start small, adopt scalable HMI, use cloud-based OEE tools, focus on quick ROI.

  • Corporations: Holistic HMI-simulation integration, Zero Trust security, and strategic tech partnerships.

Conclusion

Integrating HMI systems with simulation tools is a cornerstone of Industry 5.0 transformation. Market data highlights their rising importance, but success requires careful planning, measurable KPIs, phased implementation, and workforce training.

Firms that execute integration effectively can expect:

  • 20–60% throughput increase,

  • 25–50% downtime reduction,

  • ROI between 140–245%.

The future of smart factories belongs to enterprises that synergize advanced HMI technologies with simulation to maximize efficiency and resource optimization.

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